Where
is the Salem Oregon real
estate market
headed in 2009? You really don't need me to tell you that.
I think
we all can guess that it is heading down. How far...well that
depends
on the status of those state jobs that employ so many Salemites...
This
February market snippet is for the single family, non-acreage property,
homes real estate market here in Salem Oregon.
-
| 30
Day Absorption Rate |
74 |
Down |
| Inventory |
19.6
months |
Up |
| Average
Sold Price |
$204,245 |
Down |
| Median
Sold Price |
$179,589 |
Down |
| DOM |
131 |
Up |
Salem’s
inventory increased 4% over January 2009.
I would not be surprised to see Salem hit the 20's next month for
inventory. Just a reminder...inventory
fluctuates on a daily basis
and
has seasonal highs and lows. The average home price dropped 2.8% in
February over January, which is not surprising given the local economy.
With a 9.3% unemployment rate in Salem AND difficult lending
standards,
very few people are qualifying to purchase homes over $300,000.
As
such the average home price and median home prices should continue to
decline as less expensive homes, foreclosures,
short sales,
and motivated sellers
snag buyers.
7.9%.
That is the drop in the median home price in Salem Oregon
from January.
This is significant since the median home price is a much more
difficult number to shift. This is the halfway point where
50% of
homes sold were above that price and 50% below that price.
With only
77 sales to show for January and now 74 for February, this is an bumpy
start to the 2009 real estate year. Many of the ugly real
estate
numbers that my fellow agents shared with me from across the country
will be trending
here. Now that doesn't mean home prices are going to drop 50%
here folks...it just means that we are going to decline.
For
other metro city snapshots:
Melina - It's good to see the stats and scary to understand them. I hope it doesn't take too long to see those numbers go the other way.